The US delayed the issuance of special licenses for Huawei, causing turmoil in US technology stocks
The US delayed the issuance of special licenses for Huawei, causing turmoil in US technology stocks

On August 10, it was reported that Huawei was included in the list of entities of the U.S. Department of Commerce on May 16. Then some American companies cooperating with Huawei raised objections. Therefore, on May 20, the American authorities announced that they would issue a three-month temporary license to allow American companies to provide Huawei with technology and parts to maintain the normal operation of existing equipment and networks.

Bloomberg reported that the three-month period was coming to an end. U.S. Commerce Secretary Wilbur Ross said that he had not yet decided whether to issue special licenses to 50 U.S. companies, which wanted to resume business with Huawei. On June 29, President Trump of the United States announced a truce in the Sino US trade war and said: "American companies can sell their equipment to Huawei. We are talking about equipment without major national security issues."

However, the US side reversed itself. On August 1, local time, Trump announced on Twitter that from September 1, he would impose 10% tariffs on US $300 billion worth of goods imported from China. Foreign media said that these products include Apple's iPhone and other electronic products. The US authorities will continue to prevent Huawei from cooperating with the US supply chain, but the ban has also affected many US companies, their employees and investors.

The news that the U.S. Department of Commerce delayed the issuance of special licenses had a negative impact on the stock prices of Micron Technologies and other companies. As soon as the news came out, Micron's stock prices fell 2.6% in normal trading hours, because last year, Huawei was the largest customer of Micron's memory chips.


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